The Pingtan area of China (Fujian) Pilot Free Trade Zone (FTZ) will be home to Huatong Bank, the first private bank in Fujian province, after the China Banking Regulatory Commission sanctioned the move on Nov 28.

The bank has 2.4 billion yuan ($348.4 million) in registered capital and its two major backers are Yonghui Superstores and Yango Holdings Group, which invested 660 million yuan and 630 million yuan and hold 27.5 percent and 26.25 percent of its shares respectively.

The bank is now dealing with preparation and construction work, which is required to be completed within the next six months.

According to some insiders, Chen Dekang, former vice-president of Industrial Bank Co, will be appointed as chairman of the bank and Zheng Xinlin, former vice-president of China's first Internet bank WeBank, will take the position of president.

The bank is designed to be a fintech enterprise and will focus on financial technology, including finance, convenient payment methods and wealth management.

Its strategy will be to use Internet technology to offer small and micro-sized enterprises, people in rural areas, community residents and consumers better and more efficient financial services.

The preferential policies offered by Pingtan free trade zone, as well as its backers' extensive experience in supply chain management, agriculture, property management, and big data should provide Huatong with a number of important competitive advantages.

The move is a big win for Pingtan's FTZ, which was inaugurated on April 21, 2015. The 43-square-kilometer zone has been focusing on boosting local industries and attracting investment over the past two years.